Karman HoldingsKRMN +2.62%16 Interest Coverage is 1.70 as of Mar. 2026, which is 50% above its 10-year median of 1.13. GuruFocus rates KRMN with a GF Score™ of 16/100. The stock has 2 warning signs investors should review. Among 241 Aerospace & Defense companies, Karman Holdings ranks worse than 88.8% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Karman Holdings's
Operating Income
for the
three
months ended in Mar. 2026 was $21.5 Mil. Karman Holdings's Interest Expense for the
three
months ended in Mar. 2026 was $-12.6 Mil.
Karman Holdings's interest coverage for the quarter that ended in Mar. 2026 was 1.70.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Karman Holdings's Interest Coverage or its related term are showing as below:
KRMN'
s Interest Coverage Range Over the Past 10 Years
Min: 0.54 Med: 1.13 Max: 1.84
Current: 1.84
KRMN's Interest Coverage is ranked worse than 88.8% of 241
companies
in the Aerospace & Defense industry
Industry Median: 8.69
vs KRMN: 1.84
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Karman Holdings Interest Coverage Related Terms
Karman Holdings Interest Coverage Historical Data
* Premium members only.
The historical data trend for Karman Holdings's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
KRMN vs VSEC, MRCY, AIR: Interest Coverage Comparison
For the Aerospace & Defense subindustry, Karman Holdings's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Karman Holdings Interest Coverage vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Karman Holdings's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Karman Holdings's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Karman Holdings (KRMN) has a Interest Coverage of 1.70 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Karman Holdings and its competitors. This is 50% above median its historical median of 1.13. Over the past decade, Karman Holdings' Interest Coverage has ranged from 0.54 to 1.84. According to the industry distribution chart, Karman Holdings ranks #214 out of 241 companies in the Aerospace & Defense industry, placing it in the top 88.8%.
Is Karman Holdings' Interest Coverage too high?
Karman Holdings' current Interest Coverage of 1.70 is 50% above median its 10-year median of 1.13. Over the past 10 years, this metric has ranged from a low of 0.54 to a high of 1.84. The Aerospace & Defense industry median Interest Coverage is 8.69. Karman Holdings' value of 1.70 is 80.4% below this industry median. Based on the distribution chart, Karman Holdings ranks #214 out of 241 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Karman Holdings has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does Karman Holdings' Interest Coverage compare to VSEC and MRCY?
According to the Aerospace & Defense industry distribution chart, Karman Holdings ranks #214 out of 241 companies for Interest Coverage. This places Karman Holdings in the lower half of its industry. The industry median Interest Coverage is 8.69. Karman Holdings' value of 1.70 is 80.4% below this benchmark. Historically, Karman Holdings' own Interest Coverage has ranged from 0.54 to 1.84 over the past decade. While the company's 10-year median is 1.13 vs. the industry median of 8.69, Karman Holdings has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Aerospace & Defense company?
The median Interest Coverage among Aerospace & Defense companies is 8.69, based on 241 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Karman Holdings's current Interest Coverage of 1.70 is 80.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Karman Holdings and its competitors. For the Aerospace & Defense industry, the median Interest Coverage is 8.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Karman Holdings's current Interest Coverage is 1.70, which is 50% above median its own 10-year median of 1.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Karman Holdings stock overvalued right now?
Karman Holdings (KRMN) has a current Interest Coverage of 1.70. The current Interest Coverage is 1.70, which is 50% above median its 10-year median of 1.13 and 80.4% below the Aerospace & Defense industry median of 8.69. Karman Holdings' overall GF Score™ is 16/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Karman Holdings (KRMN), the current Interest Coverage is 1.70 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Karman Holdings Inc specializes in the upfront design, testing, manufacturing, and sale of mission-critical systems for existing and emerging missile and defense, and space programs. Its integrated payload protection, propulsion, and interstage system solutions are deployed across a wide variety of existing and emerging programs supporting important Department of Defense (DoD) and space sector initiatives. Its engineered solutions are organized into three key families: Payload Protection and Deployment Systems, Aerodynamic Interstage Systems, and Propulsion Systems. The company's solutions are deployed across three growing, core end markets: Hypersonics & Strategic Missile Defense, Missile & Integrated Defense Systems, and Space & Launch.
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